SB 308-COASTAL ZONE MGMT PROGRAM/COUNCIL [Contains discussion of HB 439] Number 0065 VICE CHAIR FATE announced the first order of business, CS FOR SENATE BILL NO. 308(FIN), "An Act relating to the Alaska coastal management program and the responsibilities of the Alaska Coastal Policy Council; and providing for an effective date." Number 0089 SENATOR GENE THERRIAULT, Alaska State Legislature, sponsor, explained that in its current form, SB 308 encompasses two main ideas. First, coastal resource areas no longer may [incorporate by reference] the state statutes and regulations. A problem in the past has been that coastal resource areas or districts have interpreted statutes and regulations differently from the way state agencies do in arriving at consistency determinations. Therefore, the Division of Governmental Coordination (DGC) has indicated to coastal resource districts that they are to adopt their own programs, rather than just adopt by reference the statutes and regulations; this occurred some time ago. What the bill does [in Section 1] is enshrine DGC's directive in statute. SENATOR THERRIAULT explained that Section 2 deals with phasing of a gas pipeline project in Alaska. The language is route- specific and project-neutral. "We have some definite ideas of where we would like the line to be built," he told members, "but we don't much care who builds it." Therefore, he said, the language is structured to allow anyone to take advantage of the routes that are suggested. Number 0240 SENATOR THERRIAULT noted that this committee had dealt with the petition process in [HB 439], sponsored by [the House Special Committee on Oil and Gas, which is chaired by] Representative Ogan. Because that bill is in the Senate currently, and because it came to the Senate first, the petition process has been removed from this version of SB 308. However, the title is relatively broad. He explained that SB 308 had been sent to the House with a broad title on purpose, so that if there were any problems dealing with the petition process through [HB 439], then [SB 308] would be available as a vehicle to make sure that petition-process change is taken care of. SENATOR THERRIAULT reported that Representative Ogan's staff had been dealing with "the Senate committees" to come up with language that fixes the problem. Unfortunately, it will trigger a title change, which would require a two-thirds vote on a title-change resolution when it comes back to the House. The desire is to keep SB 308 as a possible vehicle, in case that title change isn't possible. Number 0365 SENATOR THERRIAULT returned attention to phasing [Section 2]. He explained: In order to get a consistency determination, before you can actually get your permits, you're supposed to submit your entire project, because a gas pipeline project is so large that it's virtually impossible to anticipate every permit, every stream crossing that you're going to need for the project. So what this language does is it allows that that consistency determination would be able to be phased in over a length of time. [There was a partial motion to move the bill, but Legislative Information Office (LIO) personnel interjected because there were testifiers.] Number 0480 DANA OLSON testified via teleconference on her own behalf, noting that she lives in an affected coastal district. She told members she is very concerned about the coastal management program. She asked that a legal and factual basis be provided for the bill, adding that Thomas Dewey once said that a problem well defined is half solved. She expressed concern that SB 308 "has been primarily a reactionary type of situation." MS. OLSON requested changes. She asked that the committee add a fiscal note to SB 308 in order to implement AS 46.03.040, a state requirement for an environmental plan. She added, "If implementation of this plan is not desired by the legislature, then I ask that you put a provision on this bill and repeal it. Having this provision sit here on this bill is meaningless." She further requested compliance with "the amendments to the coastal management Act, which are stated 'not complied with.'" She said amendments to the coastal management Act require that consideration of the entire coastal zone - and not just a coastal district - be looked at. She noted that one of the particular problems she is addressing is "the legal and factual basis for construction permits." Number 0645 JOHN T. SHIVELY, Lobbyist for Foothills Pipe Lines Ltd., testified via teleconference in support of [SB 308], particularly the phasing section. He explained: This is [an] issue we've worked with, with Senator Therriault and with the administration. As the Senator said, generally, in order to get a consistency determination, which is required for a project in the coastal zone, you have to have all your permits ready to go. This project is way too big and complicated for that, and ... the language in the bill in front of you allows the administration to phase and actually make what would be, I believe, several consistency determinations, if they were necessary. So we think it's a good piece of legislation, and we support its adoption. Number 0720 VICE CHAIR FATE asked whether there were questions or if anyone else wished to testify; there was no response. He announced that public testimony was closed. Number 0773 REPRESENTATIVE KOHRING requested that Senator Therriault address the concerns expressed by Ms. Olson. SENATOR THERRIAULT replied by saying he has been involved in legislation dealing with the coastal zone [program] for a number of years, and has proposed bills in the past that either eliminated the program or made sweeping changes. He then said: This bill doesn't do it. It's very specific, noncontroversial things as far as dealing with the administration - people that run the program. With [regard] to the first section that talks about the nonadoption through reference, that's currently basically in place through the directive of Division of Governmental Coordination; we're just enshrining that in statutes. SENATOR THERRIAULT addressed phasing: As the former commissioner [Mr. Shively] indicated, the gas pipeline project is such a level of complexity that having all your permits ready to go - so that a complete consistency determination can be granted at once - is virtually impossible. And the people running the program ... on behalf of the administration agree with that. SENATOR THERRIAULT concluded by saying he wasn't sure what the other concerns were about the way the program operates, but didn't believe they specifically concerned the two sections being asked for in this legislation. Number 0885 REPRESENTATIVE KOHRING, with the concurrence of Vice Chair Fate, asked Ms. Olson whether Senator Therriault's answer had addressed her concerns adequately. MS. OLSON said no. She said the bill is rather broad, and she emphasized the need to look at the whole problem, instead of "piecemealing" it. Ms. Olson added, "It's causing people to react to every little, particular problem, where it really needs to be looked at in a larger scope." REPRESENTATIVE KOHRING requested that Ms. Olson call his office or e-mail or fax her concerns to him for a further look. Number 0955 SENATOR THERRIAULT remarked that the statutory reference used by Ms. Olson deals with the Department of Environmental Conservation, not DGC. He suggested someone might want to introduce a bill to address that, but said it wasn't his intention with SB 308. Number 0990 VICE CHAIR FATE asked whether there were further questions; none were offered. He thanked participants and again announced that public testimony was closed. Number 1013 REPRESENTATIVE DYSON moved to report CSSB 308(FIN) from committee with individual recommendations and the attached [zero] fiscal note. There being no objection, CSSB 308(FIN) was moved out of the House Special Committee on Oil and Gas.